Setting Up Payroll------------------At this time, Success Tracking does not include separate payroll functions. However, you can issue employee paychecks and pay Federal and state payroll obligations quickly and easily through Success Tracking. To setup your payroll properly, perform the following steps.

Create a payroll tax liability account.

This account will record payroll withholding and employer matching funds that you owe to the state and Federal governments. Name the account "Payroll Taxes" and set its type to Credit since it tracks money you owe. See Creating Accounts in the Accounts section.

Create a recurring expense for each employee's net salary.

For easy reference, name each recurring expense with the employee's name. Enter one expense item. Set its expense category to Owner's Salary for any owners who work in the business. Set the category to Employee Expense for all regular employees. Set the expense item to the employee's name. Doing so will allow you to track total net salary paid to each person. If the person receives the same net pay each pay period, set the expense item's amount. If their pay varies, leave the amount zero. See Adding Recurring Expenses in the Recurring Expenses section.

Create a recurring expense for payroll tax liability.

For easy reference, name the recurring expense "Payroll Taxes." Set the account to Payroll Taxes by selecting it from the Account pop up menu. This is the account you created in a previous step. Enter expense items with the following expense category/items:

Employee Expense/FederalEmployee Expense/State

Owner's Salary/FederalOwner's Salary/State

If desired, you can break down these expense items into their components: Federal Tax, FICA, FICA Matching, Medicare, Medicare Matching and state items. If your payroll total is the same each pay period, set the expense item amounts. If your payroll total varies, leave the amounts zero. See Adding Recurring Expenses in the Recurring Expenses section.

Paying Employee Salaries-------------------------If you have not setup a recurring payroll expense for each employee, see Setting Up Payroll in this section before continuing.

Choose Add Expenses from the Financial menu.

Click the Recurring button.

A window will appear listing each of your recurring expenses. There should be one for each employee to be paid.

Click on an employee's recurring salary expense.

The recurring expense entries will be transferred to the Add Expenses window.

Enter any information for the expense that was not filled in automatically from the recurring expense and make any necessary changes.

See Filling Out The Expense Form in this section.

Click the Save button.

Success Tracking will save the expense and clear the fields to allow you to create another.

Repeat the above steps for each employee.

Once all of the employees are paid, you need to enter Federal and state withholding. To do so, perform the following steps.

On the Add Expenses window, click the Recurring button.

Click the Payroll Taxes entry in the recurring expenses list.

Enter any information for the expense that was not filled in automatically from the recurring expense and make any necessary changes.

Be sure that the Account pop up menu is set to your payroll tax liability account. Also, make sure the amount for each expense item is correct. See Filling Out The Expense Form in this section.

Click the Save button.

Doing so adds to the amount you owe in Federal and state payroll taxes in your payroll tax liability account. To make an actual payment to the Federal or state government, see Paying Payroll Taxes in this section.